Regulatory Assets and Liabilities

6 Months Ended

Jun. 30, 2015

Regulatory Assets [Line Items]

Regulatory Assets and Liabilities

Regulatory assets and liabilities

DP&L has certain rate riders that provide for recovering, on a timely basis, costs incurred for specific programs for which costs may fluctuate. These riders generally allow DP&L to estimate future costs and customer kWh consumption and set rider rates designed to recover those estimated costs as they are incurred. Differences between revenues collected and the actual program costs are tracked and reconciled by increasing or reducing future rates accordingly. DP&L’s current regulatory assets and current regulatory liabilities reflect the reconciliation of such differences, with the exception of deferred storm costs. The deferred storm regulatory asset reflects costs incurred to repair major storm damage in previous years, for which DP&L was granted cost recovery during 2015. The changes in DP&L’s current regulatory asset and liability balances from December 31, 2014 to June 30, 2015 primarily represent the recovery of $11.1 million of deferred storm costs, and the reconciliation of other rider costs.

THE DAYTON POWER AND LIGHT COMPANY [Member]

Regulatory Assets [Line Items]

Regulatory Assets and Liabilities

Regulatory assets and liabilities

DP&L has certain rate riders that provide for recovering, on a timely basis, costs incurred for specific programs for which costs may fluctuate. These riders generally allow DP&L to estimate future costs and customer kWh consumption and set rider rates designed to recover those estimated costs as they are incurred. Differences between revenues collected and the actual program costs are tracked and reconciled by increasing or reducing future rates accordingly. DP&L’s current regulatory assets and current regulatory liabilities reflect the reconciliation of such differences, with the exception of deferred storm costs. The deferred storm regulatory asset reflects costs incurred to repair major storm damage in previous years, for which DP&L was granted cost recovery during 2015. The changes in DP&L’s current regulatory asset and liability balances from December 31, 2014 to June 30, 2015 primarily represent the recovery of $11.1 million of deferred storm costs, and the reconciliation of other rider costs.